Why Amentum (AMTM) Stock Is Trading Up Today

Let’s dig into the relative performance of Booz Allen Hamilton and its peers as we unravel the now-completed Q3 government & technical consulting earnings season.

The sector has historically benefitted from steady government spending on defense, infrastructure, and regulatory compliance, providing firms long-term contract stability. However, the Trump administration is showing more willingness than previous administrations to upend government spending and bloat. Whether or not defense budgets get cut, the rising demand for cybersecurity, AI-driven defense solutions, and sustainability consulting should benefit the sector for years, as agencies and enterprises seek expertise in navigating complex technology and regulations. Additionally, industrial automation and digital engineering are driving efficiency gains in infrastructure and technical consulting projects, which could help profit margins.

The 7 government & technical consulting stocks we track reported a slower Q3. As a group, revenues were in line with analysts’ consensus estimates.

Luckily, government & technical consulting stocks have performed well with share prices up 11.8% on average since the latest earnings results.

Booz Allen Hamilton

With roots dating back to 1914 and deep ties to nearly all U.S. cabinet-level departments, Booz Allen Hamilton provides management consulting, technology services, and cybersecurity solutions primarily to U.S. government agencies and military branches.

Booz Allen Hamilton reported revenues of $2.89 billion, down 8.1% year on year. This print fell short of analysts’ expectations by 2.7%. Overall, it was a softer quarter for the company with a significant miss of analysts’ revenue estimates.

Unsurprisingly, the stock is down 4% since reporting and currently trades at $96.25.

Best Q3: UL Solutions

Founded in 1894 as a response to the growing dangers of electricity in American homes and businesses, UL Solutions provides testing, inspection, and certification services that help companies ensure their products meet safety, security, and sustainability standards.

UL Solutions reported revenues of $783 million, up 7.1% year on year, outperforming analysts’ expectations by 1.5%. The business had a very strong quarter with a beat of analysts’ EPS estimates and a decent beat of analysts’ revenue estimates.

Although it had a fine quarter compared its peers, the market seems unhappy with the results as the stock is down 2% since reporting. It currently trades at $77.01.

Weakest Q3: ICF International

Operating at the intersection of policy, technology, and implementation for over five decades, ICF International provides professional consulting services and technology solutions to government agencies and commercial clients across energy, health, environment, and security sectors.

ICF International reported revenues of $465.4 million, down 10% year on year, falling short of analysts’ expectations by 3.9%. It was a disappointing quarter as it posted a significant miss of analysts’ revenue estimates and a significant miss of analysts’ EPS estimates.

ICF International delivered the weakest performance against analyst estimates and slowest revenue growth in the group. Interestingly, the stock is up 10.4% since the results and currently trades at $94.32.

Read our full analysis of ICF International’s results here.

SAIC

With over five decades of experience supporting national security missions, Science Applications International Corporation provides technical, engineering, and enterprise IT services primarily to U.S. government agencies and military branches.

SAIC reported revenues of $1.87 billion, down 5.6% year on year. This result met analysts’ expectations. It was a very strong quarter as it also produced a beat of analysts’ EPS estimates and an impressive beat of analysts’ full-year EPS guidance estimates.

SAIC achieved the highest full-year guidance raise among its peers. The stock is up 23.3% since reporting and currently trades at $107.96.

Read our full, actionable report on SAIC here, it’s free.

Amentum

With operations spanning approximately 80 countries and a workforce of specialized engineers and technical experts, Amentum Holdings provides advanced engineering and technology solutions to U.S. government agencies, allied governments, and commercial enterprises across defense, energy, and space sectors.

Amentum reported revenues of $3.93 billion, up 10.1% year on year. This number beat analysts’ expectations by 9%. More broadly, it was a satisfactory quarter as it also recorded a solid beat of analysts’ revenue estimates but a miss of analysts’ full-year EPS guidance estimates.

Amentum delivered the biggest analyst estimates beat and fastest revenue growth among its peers. The stock is up 36.6% since reporting and currently trades at $34.65.

Read our full, actionable report on Amentum here, it’s free.

As the Q3 earnings season comes to a close, it’s time to take stock of this quarter’s best and worst performers in the government & technical consulting industry, including ICF International and its peers.

The sector has historically benefitted from steady government spending on defense, infrastructure, and regulatory compliance, providing firms long-term contract stability. However, the Trump administration is showing more willingness than previous administrations to upend government spending and bloat. Whether or not defense budgets get cut, the rising demand for cybersecurity, AI-driven defense solutions, and sustainability consulting should benefit the sector for years, as agencies and enterprises seek expertise in navigating complex technology and regulations. Additionally, industrial automation and digital engineering are driving efficiency gains in infrastructure and technical consulting projects, which could help profit margins.

The 7 government & technical consulting stocks we track reported a slower Q3. As a group, revenues were in line with analysts’ consensus estimates.

Luckily, government & technical consulting stocks have performed well with share prices up 13.1% on average since the latest earnings results.

Weakest Q3: ICF International

Operating at the intersection of policy, technology, and implementation for over five decades, ICF International provides professional consulting services and technology solutions to government agencies and commercial clients across energy, health, environment, and security sectors.

ICF International reported revenues of $465.4 million, down 10% year on year. This print fell short of analysts’ expectations by 3.9%. Overall, it was a disappointing quarter for the company with a significant miss of analysts’ revenue and EPS estimates.

Commenting on the results, John Wasson, chair and chief executive officer, said, "Our third quarter performance demonstrates the benefits of ICF's diversified client base, our agility in adapting to challenging market conditions, and the success of our business development activities.

ICF International delivered the weakest performance against analyst estimates and slowest revenue growth of the whole group. Interestingly, the stock is up 8.4% since reporting and currently trades at $92.66.

Read our full report on ICF International here, it’s free.

Best Q3: UL Solutions

Founded in 1894 as a response to the growing dangers of electricity in American homes and businesses, UL Solutions provides testing, inspection, and certification services that help companies ensure their products meet safety, security, and sustainability standards.

UL Solutions reported revenues of $783 million, up 7.1% year on year, outperforming analysts’ expectations by 1.5%. The business had a very strong quarter with a beat of analysts’ EPS estimates and a decent beat of analysts’ revenue estimates.

The market seems happy with the results as the stock is up 5.1% since reporting. It currently trades at $82.60.

Booz Allen Hamilton

With roots dating back to 1914 and deep ties to nearly all U.S. cabinet-level departments, Booz Allen Hamilton provides management consulting, technology services, and cybersecurity solutions primarily to U.S. government agencies and military branches.

Booz Allen Hamilton reported revenues of $2.89 billion, down 8.1% year on year, falling short of analysts’ expectations by 2.7%. It was a softer quarter as it posted a significant miss of analysts’ revenue estimates and a significant miss of analysts’ organic revenue estimates.

As expected, the stock is down 4.9% since the results and currently trades at $95.33.

Read our full analysis of Booz Allen Hamilton’s results here.

Amentum

With operations spanning approximately 80 countries and a workforce of specialized engineers and technical experts, Amentum Holdings provides advanced engineering and technology solutions to U.S. government agencies, allied governments, and commercial enterprises across defense, energy, and space sectors.

Amentum reported revenues of $3.93 billion, up 10.1% year on year. This result topped analysts’ expectations by 9%. Aside from that, it was a satisfactory quarter as it also produced a solid beat of analysts’ revenue estimates but a miss of analysts’ full-year EPS guidance estimates.

Amentum scored the biggest analyst estimates beat and fastest revenue growth among its peers. The stock is up 34.3% since reporting and currently trades at $34.06.

Read our full, actionable report on Amentum here, it’s free.

Jacobs Solutions

With a workforce of approximately 45,000 professionals tackling complex challenges from water scarcity to cybersecurity, Jacobs Solutions provides engineering, consulting, and technical services focused on infrastructure, sustainability, and advanced technology solutions.

Jacobs Solutions reported revenues of $3.15 billion, up 6.6% year on year. This print beat analysts’ expectations by 0.7%. However, it was a slower quarter as it logged a significant miss of analysts’ EPS estimates.

The stock is down 3.8% since reporting and currently trades at $139.52.

Read our full, actionable report on Jacobs Solutions here, it’s free.

What Happened?

Shares of government engineering solutions provider Amentum Holdings jumped 2.4% in the morning session after the company received positive analyst commentary, a credit rating upgrade, and a new contract award, pushed the stock to a 52-week high. The positive momentum followed several key developments. Cantor Fitzgerald raised its price target on the stock to $40 from $35, keeping an Overweight rating, after the company's fourth-quarter fiscal 2025 results surpassed expectations. BofA Securities also increased its price target to $30.

After the initial pop the shares cooled down to $32.30, up 3.6% from previous close.

What Is The Market Telling Us

Amentum’s shares are very volatile and have had 25 moves greater than 5% over the last year. In that context, today’s move indicates the market considers this news meaningful but not something that would fundamentally change its perception of the business.

The biggest move we wrote about over the last year was about 2 months ago when the stock dropped 4.9% on the news that markets faded the Nvidia rally in the morning session, as investors remained uncertain about future rate cuts. 

While the trading day began with significant enthusiasm, pushing the Dow Jones Industrial Average up more than 700 points and the Nasdaq Composite up 2.6%, momentum quickly evaporated as the session wore on. The primary catalyst for this sharp reversal was a stronger-than-expected jobs report, which reduced the implied odds of a December interest rate cut to less than 40%.This macroeconomic anxiety overshadowed stellar corporate performance. Nvidia initially surged 5% on blockbuster earnings and CEO Jensen Huang's bullish outlook on "off the charts" demand for Blackwell chips. 

However, the stock eventually turned negative, acting as a heavy weight that dragged the broader indices into the red. The sell-off partly reflects a deepening caution regarding high-flying tech valuations in a "higher-for-longer" rate environment. Consequently, investors appeared to rotate capital away from volatile growth sectors and toward defensive staples, evidenced by Walmart's 6% gain following its own earnings beat. Ultimately, the market could not sustain the morning's euphoria, as traders prioritized rate realities over AI potential.

Amentum is up 6% since the beginning of the year, and at $32.30 per share, has set a new 52-week high. Investors who bought $1,000 worth of Amentum’s shares at the IPO in September 2024 would now be looking at an investment worth $1,095.

Wrapping up Q3 earnings, we look at the numbers and key takeaways for the government & technical consulting stocks, including Amentum and its peers.

The sector has historically benefitted from steady government spending on defense, infrastructure, and regulatory compliance, providing firms long-term contract stability. However, the Trump administration is showing more willingness than previous administrations to upend government spending and bloat. Whether or not defense budgets get cut, the rising demand for cybersecurity, AI-driven defense solutions, and sustainability consulting should benefit the sector for years, as agencies and enterprises seek expertise in navigating complex technology and regulations. Additionally, industrial automation and digital engineering are driving efficiency gains in infrastructure and technical consulting projects, which could help profit margins.

The 7 government & technical consulting stocks we track reported a slower Q3. As a group, revenues were in line with analysts’ consensus estimates.

In light of this news, share prices of the companies have held steady as they are up 1.3% on average since the latest earnings results.

Amentum

With operations spanning approximately 80 countries and a workforce of specialized engineers and technical experts, Amentum Holdings provides advanced engineering and technology solutions to U.S. government agencies, allied governments, and commercial enterprises across defense, energy, and space sectors.

Amentum reported revenues of $3.93 billion, up 10.1% year on year. This print exceeded analysts’ expectations by 9%. Overall, it was a satisfactory quarter for the company with an impressive beat of analysts’ revenue estimates but a miss of analysts’ full-year EPS guidance estimates.

“Amentum’s strong fourth quarter results cap off what has been a remarkable first year as a public company. Financial performance exceeded our expectations, demonstrating the resilience of our business and its alignment with enduring global trends and the mission critical priorities of our customers," said Amentum Chief Executive Officer John Heller.

Amentum pulled off the biggest analyst estimates beat and fastest revenue growth of the whole group. Unsurprisingly, the stock is up 12.4% since reporting and currently trades at $28.52.

Is now the time to buy Amentum? Access our full analysis of the earnings results here, it’s free for active Edge members.

Best Q3: UL Solutions

Founded in 1894 as a response to the growing dangers of electricity in American homes and businesses, UL Solutions provides testing, inspection, and certification services that help companies ensure their products meet safety, security, and sustainability standards.

UL Solutions reported revenues of $783 million, up 7.1% year on year, outperforming analysts’ expectations by 1.5%. The business had a very strong quarter with a beat of analysts’ EPS estimates and a decent beat of analysts’ revenue estimates.

Although it had a fine quarter compared its peers, the market seems unhappy with the results as the stock is down 1.4% since reporting. It currently trades at $77.52.

Is now the time to buy UL Solutions? Access our full analysis of the earnings results here, it’s free for active Edge members.

Weakest Q3: ICF International

Operating at the intersection of policy, technology, and implementation for over five decades, ICF International provides professional consulting services and technology solutions to government agencies and commercial clients across energy, health, environment, and security sectors.

ICF International reported revenues of $465.4 million, down 10% year on year, falling short of analysts’ expectations by 3.9%. It was a disappointing quarter as it posted a significant miss of analysts’ revenue estimates and a significant miss of analysts’ EPS estimates.

ICF International delivered the weakest performance against analyst estimates and slowest revenue growth in the group. As expected, the stock is down 2.7% since the results and currently trades at $83.16.

Read our full analysis of ICF International’s results here.

SAIC

With over five decades of experience supporting national security missions, Science Applications International Corporation provides technical, engineering, and enterprise IT services primarily to U.S. government agencies and military branches.

SAIC reported revenues of $1.87 billion, down 5.6% year on year. This number met analysts’ expectations. Overall, it was a very strong quarter as it also recorded a beat of analysts’ EPS estimates and a solid beat of analysts’ full-year EPS guidance estimates.

SAIC scored the highest full-year guidance raise among its peers. The stock is up 11.2% since reporting and currently trades at $97.31.

Read our full, actionable report on SAIC here, it’s free for active Edge members.

Booz Allen Hamilton

With roots dating back to 1914 and deep ties to nearly all U.S. cabinet-level departments, Booz Allen Hamilton provides management consulting, technology services, and cybersecurity solutions primarily to U.S. government agencies and military branches.

Booz Allen Hamilton reported revenues of $2.89 billion, down 8.1% year on year. This print missed analysts’ expectations by 2.7%. Overall, it was a softer quarter as it also produced a significant miss of analysts’ revenue estimates and a significant miss of analysts’ organic revenue estimates.

The stock is down 9.7% since reporting and currently trades at $90.53.

Read our full, actionable report on Booz Allen Hamilton here, it’s free for active Edge members.